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Technology Stocks : Qwest Communications (Q) (formerly QWST)
Q 79.74+2.8%3:59 PM EST

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To: Phil Jacobson who wrote (1308)5/24/1998 7:51:00 AM
From: Doug (Htfd,CT)  Read Replies (1) of 6846
 
Phil, denying a Prelim Injunction does not mean the case is over, or that the "feds" will "allow" QWest's deal to go forward.

A court will often deny granting a preliminary injunction for many reasons other than the merits of the case. This may simply mean that the court was persuaded that the arrangement can be unwound in a few months if found violative of the Telecom Act, so blocking it now is not essential. Granting PI's is the exception rather than the rule.

Don't read too much into the denial of the PI. The article you quoted points out that the court denied the motion to dismiss, so the case will go on. Also, opponents will probably appeal the court's final decision whatever it is. It may take years to resolve this, and in the meantime the FCC may revise its rules to fill this loophole, making this litigation moot.

Doug (not a telecom law specialist)
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